AlixPartners is serving as restructuring advisor to NPC International in the company’s recently approved Chapter 11 plan.
A&G Realty is acting as real estate advisor to the company and The Cypress Group is acting as quick-service restaurant M&A advisor in connection with the transaction. Weil, Gotshal & Manges is acting as NPC’s counsel, with Greenhill & Co. acting as financial advisor.
NPC International’s Chapter 11 plan is supported by the company’s key stakeholders, including the official committee of unsecured creditors, the ad hoc group of priority and first lien lenders, the ad hoc group of second lien lenders, the Pizza Hut franchisor, the Wendy’s franchisor, the driver claimants involved in the Chapter 11 cases, as well as Flynn, the Wendy’s purchasers and a majority of voting creditors. Chief U.S. Bankruptcy Judge David R. Jones ruled that the plan meets the criteria for confirmation under section 1129 of the U.S. Bankruptcy Code.
On Jan. 20, 2021, the court also approved the previously announced separate asset purchase agreements with Flynn Restaurant Group and Wendy’s International together with its affiliates and the designated regional buyers (the Wendy’s purchasers), which will result in the sale of substantially all of NPC’s assets. The sale transactions are expected to close in Q2/21, and the plan would be consummated contemporaneously or shortly thereafter.
“With today’s confirmation, we have achieved a significant milestone for NPC and for our team,” Carl Hauch, CEO and president of NPC’s Wendy’s division, said. “We are grateful to Judge Jones for his thoughtful and diligent oversight and stewardship of these Chapter 11 cases, and we appreciate the dedication and support of our employees, customers and brand partners throughout the process. As our restaurants and team become part of the organizations of Flynn or other Wendy’s franchisees, we are confident they will have many new opportunities ahead to grow and thrive.”
“We are very pleased to have received the court’s approval of our plan,” Jon Weber, CEO and president of NPC’s Pizza Hut division, said. “This important step represents the successful culmination of a lot of hard work by many people, including months of constructive negotiations with our brand partners and lenders. I’d particularly like to thank our NPC employees, who have demonstrated steadfast dedication throughout this process despite the ongoing challenges presented by the global pandemic. It has been an honor to work alongside this talented team over the years.”
